Blog: The Bill of Lading
Posted March 12, 2008 by Arthur
What is a bill of lading and why is it so important?
The Bill of Lading or Freight Bill is an important document that functions as both the receipt for your vehicle and the physical contract of carriage between you (the shipper) and the “Carrier” (Trucker). The Bill of Lading will usually be provided to you by the” Carrier” at the time that the company’s driver picks up your car.
What’s on the form?
The form contains the complete address and telephone number for the point of origin of the shipment and the shipping destination and well as your vehicle’s information. You may also need to record the make, model, year, license plate number and VIN number of your vehicle.
Most Bills of Lading include an inspection area (similar to a car rental contract). It is critical that you spend the time checking your vehicle and recording any major defects and dents. You and the “Carrier” will sign off on the condition both at the time of shipping and later upon receiving.
Finally, the Bill of Lading will in most cases include areas such as fees and payment; the “Carrier’s” statement of liability, terms and conditions; and the acknowledgement/signature area. It is important to read these sections as every Bill of Lading is different.
Taking Delivery
Find out in advance what the “Carrier’s” inspection policy is on deliveries made under difficult conditions. Make sure that you are prepared for the inspection if your vehicle is delivered at night, and in the rain or snow. Upon delivery, conduct a thorough inspection of your vehicle before you sign the Bill of Lading. Once the Bill of Lading is signed, you are releasing the driver, the “Carrier” and its insurance company from any liability. Your broker cannot do anything to help with damage found after the release of the vehicle.
Any vehicle damage found after the Bill of Lading has been signed will not be covered by the “Carrier” or their insurance company as they will assume that that damage did not occur in transit. This is why inspection is essential prior to release.
If you do find that damage has occurred upon inspection, simply note all damage on your Bill of Lading, obtain the driver's signature, and contact your “Carrier”. All reputable car transport companies should work with you to reimburse you either directly or through their insurance company for verifiable damage done to your car. It is always best to try to resolve the dispute directly with the car transport company.
